5 Common Pitfalls to Avoid as a New Contractor

 As someone who’s been in the contracting space for quite a while, I can confidently say there’s no one-size-fits-all approach to success. Every school, in every state, has its own unique definition of “perfect.” So, before we dive into today’s topic, let’s start with a positive affirmation for you, my friend:

You are doing wonderfully.

Now, let’s talk about some common pitfalls I’ve observed in the contracting world and how you can avoid them.

1. Charging Too Little

If you’ve followed my journey, you know I made this mistake in my first year and ended up making significantly less than I had hoped (insert rate raise the next year). It’s tempting to see a number higher than your typical rate and assume it’s sufficient. But remember, taxes, expenses, and the school’s pay cycle all affect your actual take-home pay. Don’t sell yourself short—make sure you’re charging enough to cover all your costs and earn what you deserve.

2. Saying “Yes” to Everything

Especially when you’re just starting out, it’s easy to think that good customer service means saying “yes” to every request. However, this can quickly lead to burnout, leaving you feeling just as overwhelmed as you were before contracting. The key to successful contracts is setting clear boundaries, whatever they may be—limit your caseload, stick to your niche, and always prioritize your well-being.

3. "Giving Up" Too Soon

This one is tough because I never want to see anyone struggle with fear when it comes to pay. However, I’ve seen providers throw in the towel in May or June, assuming they’ve missed the contracting period for the following year. In reality, especially for virtual providers, many schools don’t finalize contracts until late summer or early fall. Patience and persistence are key!

4. Being Afraid to Hire

If you’re someone who wants to stay intentionally small and doesn’t want anyone working under you, that’s perfectly fine! You’ve set a boundary, and I respect that. However, I often encounter providers who think they lack the skills to hire or subcontract others. The truth is, there’s no reason why a provider can’t grow into a small staffing business. It’s an excellent way to expand your revenue without adding more therapy hours to your schedule.

5. Getting Organized but Not Taking Action

It’s so easy to spend time organizing everything—watching trainings, registering your business, creating rate sheets. But at the end of the day, none of that will land you a contract. In fact, I’d argue that reaching out to schools should be one of the first things you do as a contractor. Early communication is what will bring you results.

Remember, there’s no perfect way to navigate the contracting world. Each experience is a learning opportunity, and with the right mindset, you can avoid these common mistakes and thrive in your contracting journey. Keep pushing forward—you’re doing great! Need my support with landing that first contract OR hiring for additional contracts?  Check out my resources: The Therapist Support Network Resources